Pick n Pay has introduced a paid tier for its Smart Shopper loyalty program, which will cost R99 per month. This price matches the cost offered by Shoprite for Xtra Savings Plus, the paid version of the Checkers and Shoprite loyalty program.
Smart Shopper Pro Program Details
The new program, named Smart Shopper Pro, was announced on Thursday. It offers participants unlimited free delivery of orders via asap! over R350, triple points on fresh produce, double points on BP fuel, and an additional 10% discount on in-store purchases, limited to R200 monthly. Customers can register through the asap! app. The basic Smart Shopper program remains free.
The set price of R99 is introductory, and at the time of the announcement on Friday, it was not specified whether the Pro cost would change in the future or when the promotional price would end.
It should be noted that the 10% discount has certain limitations: Pick n Pay states that it applies to maximum spending of R2,000 within a single purchase, implying a limit on the discount per store visit, rather than total store expenditure.
The terms of this program are largely similar to the offerings of Checkers Xtra Savings Plus, which Shoprite introduced in 2023. It includes unlimited free Sixty60 delivery on orders over R350 and a 10% discount on one in-store purchase per month, up to R200.
Pick n Pay claims that customers who frequently use online shopping can recoup the subscription fee just from the delivery costs. Company representatives noted: 'For customers who order groceries online weekly, four deliveries a month will cost R148 for delivery alone.'
Vince Viviers, Head of Innovation and Digital Transformation at Pick n Pay, stated that 'customers are increasingly looking for practical ways to make their money go further.'
Competition with Sixty60
The Pro program integrates with the free Live Well club within Smart Shopper. Members of both programs can earn six times more standard points when purchasing certain items such as fresh fruits, vegetables, fish, and chicken. New users who subscribe before November 30th will receive a R99 discount on their next asap! order.
This launch occurred a few days after Pick n Pay reported a 35.4% increase in its online sales over the six months ending August 30th. This figure aligns with the 34.5% growth in Sixty60 reported by Shoprite for the year ending in June. However, Pick n Pay did not disclose specific financial data about its online business. It is worth noting that Sixty60's revenue reached R25.5 billion.
Shoprite uses its own Xtra Savings Plus tier at R99 to retain loyal customers. Initially, the AI shopping assistant Pixie was only available to paid subscribers.
Now both retailers face a cheaper competitor—Amazon Prime, which launched in South Africa in June. It costs R59 per month and includes free delivery as well as Prime Video streaming.